Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Globalization, Development and the StateBrazil

Globalization, Development and the State: Brazil [Brazil came out of the 1970s possessing a relatively strong, industrially oriented and diversified economic structure. This was the result of a consistent government strategy of promoting the development of local industry through import-substitution policies combined with the establishment and expansion of a number of state-owned industrial enterprises. The policies also had included a strong promotion of exports plus an invitation to foreign enterprises to invest, especially in capital-intensive and technologically advanced industrial sectors. The foreign-owned enterprises also contributed significantly to the strong export drive that marked Brazil’s economic development during the 1970s. This Brazilian model for successful growth and development became known as ‘the triple alliance’ because of its division-of-labour and collaboration between three types of industrial enterprises: (1) state-owned companies, (2) private, national companies and (3) foreign-owned transnational corporations (Evans 1979). The strong growth of both state-owned and private national firms during the 1970s had resulted in a gradual reduction in the share of the industrial economy that was controlled by foreign companies. Despite this, foreign companies were still dominant in many leading industrial sectors, the automobile industry being the most prominent example. The economic growth that resulted from this economic strategy was relatively high throughout the 1970s as can be seen in Figure 4.1, though with a declining trend in comparison with the very high growth rates obtained through the so-called miracle years 1968–73.1] http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png

Globalization, Development and the StateBrazil

Download PDF
37 pages

Loading next page...
 
/lp/springer-journals/globalization-development-and-the-state-brazil-4ffIkiio7C
Publisher
Palgrave Macmillan UK
Copyright
© Palgrave Macmillan, a division of Macmillan Publishers Limited 2008
ISBN
978-1-349-30079-2
Pages
42 –79
DOI
10.1057/9780230227354_5
Publisher site
See Chapter on Publisher Site

Abstract

[Brazil came out of the 1970s possessing a relatively strong, industrially oriented and diversified economic structure. This was the result of a consistent government strategy of promoting the development of local industry through import-substitution policies combined with the establishment and expansion of a number of state-owned industrial enterprises. The policies also had included a strong promotion of exports plus an invitation to foreign enterprises to invest, especially in capital-intensive and technologically advanced industrial sectors. The foreign-owned enterprises also contributed significantly to the strong export drive that marked Brazil’s economic development during the 1970s. This Brazilian model for successful growth and development became known as ‘the triple alliance’ because of its division-of-labour and collaboration between three types of industrial enterprises: (1) state-owned companies, (2) private, national companies and (3) foreign-owned transnational corporations (Evans 1979). The strong growth of both state-owned and private national firms during the 1970s had resulted in a gradual reduction in the share of the industrial economy that was controlled by foreign companies. Despite this, foreign companies were still dominant in many leading industrial sectors, the automobile industry being the most prominent example. The economic growth that resulted from this economic strategy was relatively high throughout the 1970s as can be seen in Figure 4.1, though with a declining trend in comparison with the very high growth rates obtained through the so-called miracle years 1968–73.1]

Published: Oct 10, 2015

Keywords: European Union; Banking Sector; Industrial Policy; Foreign Company; Debt Crisis

There are no references for this article.